Web3 Technologies & The Potential For A More Secure Music Industry

The music industry is fraught with lengthy processes, bureaucracy, and data breaches. Thankfully, Web3 is here to give the industry a new lease of life. Web3 technologies have already proven revolutionary for artists and the industry at large when it comes to amplifying careers and creating new revenue streams. They are now poised to have a significant impact on the cyber security of the music industry.

How can Web3 technologies foster a more secure music industry?

Artist-to-fan distribution model

Web3 technologies greatly facilitate the artist-to-fan distribution model. NFTs are a prime example of how to implement this model, as they allow artists to sell their music and merchandise directly to their fans.

As a result, NFTs eliminate the need for intermediaries, who typically take a significant portion of the artist’s earnings. Moreover, the artist-to-fan model promotes fan engagement by offering exclusive music, merchandise, or rewards, due to the scarcity of limited-edition assets.

One of the main advantages of this model, however, is that it protects the artist’s limited-edition material from being leaked or copied without explicit permission. The blockchain‘s immutable record keeping ensures that artists can track who owns each and every NFT they sold. Additionally, NFTs are protected by the cryptographic algorithms used in the blockchain, making it virtually impossible for limited-edition music sold as an NFT to be copied or leaked.

Intellectual property rights

The existing intellectual property system is legally complex and subject to regional regulations, making it very difficult for smaller artists to protect their works. Web3 technologies like digital certificates of ownership and the blockchain have the power to change all that.

These technologies enable artists to add digital timestamps to their work and track NFT ownership. On the other hand, collectors can verify whether a piece of art is original by tracking previous transactions on the blockchain and verifying digital signatures.

These steps ensure that a song or album is not copied, leaked, or distributed without the artist’s permission, thereby protecting their intellectual property rights. This is undoubtedly revolutionary when it comes to developing a more secure music industry.

A visual representation of the blockchain. Photo credit: builtin.com

Transparent transactions

Web3 technologies empower artists in terms of financial stability, as they provide a secure and transparent payment route. Blockchain payments eliminate the need for centralised third parties (e.g. a bank) and facilitate peer-to-peer payments. In addition, blockchain data is stored on a public ledger, which means all parties can view the details of the transaction and track payments.

In the traditional music industry, sending and receiving payments is a long process. If an artist sells merchandise online, they usually have to go through a third party website and a bank to verify and process the payment. These intermediaries typically add their own fees, which the artist must pay. With Web3 technologies, fans can pay their favourite artist directly, without having to go through these time-consuming processes.

Automated royalty distribution

Royalty distribution is typically a complex process, as it involves manual monitoring of song usage, various intermediaries from different geographical regions, and quarterly payments. By automating the process, Web3 technologies like smart contracts can transform royalty distribution into a simple operation.

Smart contracts can be programmed to automatically distribute royalties based on certain criteria. These can include the number of times a song is played on a particular radio station, the number of streams across all streaming services, and so on.

In addition to making things much easier, smart contracts are also fully transparent, as they are stored on the blockchain’s public ledger. Artists can therefore view all the information and ensure that they are fairly compensated.

Decentralised storage

One of the main tenets of Web3 is decentralisation. This principle is very useful when it comes to storing and backing up music data. Web3 technologies, such as decentralised storage systems, provide a solid solution to data breaches, loss, and theft. This is because they focus on distributing the data across a network of nodes, rather than relying on a single central entity.

Decentralised storage systems are efficient, as they automatically encrypt all data and do not depend on a centralised storage system. In addition, all data uploaded to decentralised storage systems is divided into pieces and sent to different nodes in different geographical areas, making it difficult for hackers to get their hands on the data.

By using decentralised storage solutions, artists can rest assured their work is not leaked and that their intellectual property rights are fully protected. In addition, music companies that invest in Web3 storage technologies benefit from a reduced risk of data breaches and hacking.


Janelle knows a thing or two about the music industry. Having been involved in the industry since the age of 13, she's now involved in a variety of music-related projects and is always keen to share industry tips 'n' tricks with fellow musicians.